Physical Therapy Clinic Feasibility Study in Louisiana

Louisiana punches above its weight for therapy clinic loans

A location quotient of 1.69x says rehabilitation and therapy clinics take a much bigger share of Louisiana's SBA lending than of the national total. The 42 loans approved from FY2017 to FY2026, worth $17.5 million, rank the state 25 of 54, and the class holds 12 of 39 inside Louisiana. Size is also above the norm: a median of $245,750 is 1.64x the national midpoint for the class, with a typical range of $148,200 to $384,000.

Mix, brands and place

Financing splits 35 loans to 7(a) and 7 to 504, and 7.1% of loans are franchised. No lender reaches five loans in this cell, so no lender is named; the volume is spread thinly across many institutions. Calcasieu Parish leads with 7 loans, Jefferson has 6, and East Baton Rouge and Saint Tammany have 5 each, with Lafayette at 4 and Ascension at 3. Louisiana's lending is therefore spread across Lake Charles, the New Orleans suburbs, Baton Rouge and Acadiana, instead of piling up in one metro area, which matters for a lender comparing local comparables.

What this record cannot tell us

Two measures are withheld for this cell. Louisiana shows no cancellation percentage and no charge-off percentage, since each rests on under 30 loans; treat the gaps as unknowns, and do not assume a clean record from them. What can be said is that volume has been uneven, from 5 loans in each of FY2017 and FY2018 to only 1 in FY2020, and then a recovery to 5 loans and $3.6 million in FY2025 and 8 loans and $6.0 million in FY2026, the biggest year in the table.

What a Louisiana therapy clinic study should test

Referral sources come first: orthopaedic practices, primary care physicians and hospitals, plus the number of competing clinics near the site. Reimbursement and the share of patients covered by workers compensation or commercial insurance shape revenue. Staffing licensed therapists is the binding constraint. Build-out costs fit the modest loan sizes shown here. Coverage must survive a gradual build of caseload, and should a lender take real estate as collateral, the valuation has to support it.